Homework SourseCost of goods sold Based on the following data determine the
Cost of goods sold
Based on the following data, determine the cost of goods sold for November:
| Estimated returns of November sales | $6,400 |
| Merchandise inventory, November 1 | 9,700 |
| Merchandise inventory, November 30 | 18,600 |
| Purchases | 194,200 |
| Purchases returns and allowances | 6,600 |
| Purchases discounts | 3,900 |
| Freight in | 2,700 |
Solution
cost of goods sold:
sales returns is not relevant in this calculaltion.
| merchandise inventory, november 1 | 9,700 |
| add; purchases | 194,200 |
| less:purchases returns and allowances | (6,600) |
| less:purchase discounts | (3,900) |
| add: freight in | 2,700 |
| less:merchandise inventory, november 30 | (18,600) |
| cost of goods sold | 177,500 |
